Legal malpractice is not just about missed personal injury statutes, nor about simple failures in calendar practice. Here is an anti-trust legal malpractice case involving Mylan Labs and the Eliot Disner law firm. The lab paid out more than $ 150 million in penalties and disgorgement.
"In June, Mylan Laboratories Inc. and UDL Laboratories, Inc., one of its subsidiaries, sued their former counsel, Eliot G. Disner and his firm, Eliot G. Disner, P.C., in the Circuit Court of Monongalia County, West Virginia (Morgantown), for what they claimed was negligence and breach of contract regarding advice he provided on antitrust issues. Here’s the complaint.
Mylan alleges that Disner committed malpractice in three ways. First, he "allowed Mylan to enter into the exclusive supply agreement with Profarmaco/GYMA [who were to supply Mylan with the "active pharmaceutical ingredients" for lorazepam and clorazepate for the generic versions of the drugs on an exclusive basis] without fully investigating the issues or apprising Mylan of the substantial risks." Mylan also alleges that Disner allowed it "to engage SST/FIS [another supplier of lorazepam and clorazepate] in discussions on a similar exclusive arrangement, introducing a damaging horizontal element into an antitrust equation." Finally, Mylan alleges that after the FTC initiated an investigation into Mylan’s conduct, Disner "offered no advice to mitigate the problems facing Mylan or suggesting the risks that Mylan faced — instead advising that the FTC would accept a harmless consent decree, that the FTC had no ability to seek damages, and that the states would drop their claims when the FTC dropped its claims."